A compact all terrain vehicle is disclosed for instance in Japanese Unexamined Patent Application Publication 2006-027425. In this compact vehicle, an engine unit equipped with a V-belt type automatic transmission is mounted below the seat. The intake port of the intake duct of the V-belt type automatic transmission is arranged near the steering shaft to prevent ingress of water through the intake duct. Furthermore, the air cleaner is installed above the engine behind the steering shaft to prevent ingress of water through the air cleaner. The exhaust duct extends rearwardly from the V-belt type automatic transmission and includes an exhaust port which is arranged near the muffler. In this position, it is difficult to prevent ingress of water through the exhaust duct as the exhaust port is positioned low.
In addition there is a demand in the market for vehicles which have a more compact body. However, with limited space, it is difficult to position the exhaust duct such that the exhaust port may be positioned in a manner which impedes the ingress of water while not interfering with the operations of the vehicle.